Resolution No. 2010-026RESOLUTION NO. 2010-26
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
VERNON APPROVING AND AUTHORIZING THE EXECUTION OF
AN AMENDMENT NUMBER ONE TO THE AGREEMENT BETWEEN
THE CITY OF VERNON AND THE LAW OFFICES OF ERIC T.
FRESCH, LTD., FOR LEGAL SERVICES
WHEREAS, on January 4, 2010, the City Council of the City of
Vernon adopted Resolution No. 2010-07 approving an Agreement with Eric
T. Fresch, Ltd. ("FreschLaw") to provide certain legal services for
the Departments of Light & Power and Gas in connection with the
issuance and sale of bonds, public finance matters, energy matters and
certain other related matters; and
WHEREAS, FreschLaw and the City wish to expand the scope of
services currently provided, create a blended billing rate to cover
all services provided under the agreement and decrease the
professional liability insurance coverage required under the
Agreement; and
WHEREAS, by Staff Report dated February 17, 2010, the City
Administrator has recommended that FreschLaw's fee be increased from
$450.00 per hour to $525.00 per hour to cover all services provided
under the Agreement and that the professional liability insurance
requirement be decreased to $2 million per claim and $4 million
annually in the aggregate; and
WHEREAS, the City Council of the City of Vernon has
determined that, pursuant to the provisions of subsection (b)(1) and
(b)(7) of Section 2.27 of the Vernon City Code, it is in the public
interest and necessity to enter into the amended Agreement with
FreschLaw to provide legal services.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE
CITY OF VERNON AS FOLLOWS:
SECTION 1: The City Council of the City of Vernon does
hereby find and determine that the recitals contained hereinabove are
true and correct
SECTION 2: The City Council of the City of Vernon hereby
approves the Amendment Number One to the Agreement (the "Amendment")
with FreschLaw, a copy of which is attached hereto as Exhibit A.
SECTION 3: The City Council of the City of Vernon hereby
authorizes the Mayor or Mayor Pro-Tem to execute said Amendment for,
and on behalf of, the City of Vernon and the City Clerk, or Deputy
City Clerk, is hereby authorized to attest thereto.
SECTION 4: The City Council of the City of Vernon hereby
authorizes the City Administrator, or his designee, to take whatever
actions are deemed necessary or desirable for the purpose of
implementing and carrying out the purposes of this Resolution and the
transactions herein approved or authorized.
SECTION 5: The City Council of the City of Vernon hereby
directs the City Clerk, or her designee, to send a_fully executed
Amendment to FreschLaw.
-2-
SECTION 6: The City Clerk of the City of Vernon shall
certify to the passage, approval and adoption of this Resolution, and
the City Clerk of the City of Vernon shall cause this Resolution and
the City Clerk's certification to be entered in the File of Resolutions
of the Council of this City.
APPROVED AND ADOPTED this 22"d day of February, 2010.
Name: Hilario Gonzales
Title: Mayor �LQire T �
A T ST:
MANUELA GIRON, City Clerk
-3-
STATE OF CALIFORNIA )
) ss
COUNTY OF LOS ANGELES )
I, MANUELA GIRON, City Clerk of the City of Vernon, do hereby
certify that the foregoing Resolution, being Resolution No. 2010-26,
was duly passed, approved and adopted by the City Council of the City
of Vernon at a regular meeting of the City Council duly held on Monday,
February 22, 2010, and thereafter was duly signed by the Mayor or Mayor
Pro-Tem of the City of Vernon.
Executed this -Wday of February, 2010, at Vernon, California.
AMUELA G R ,-City Clerk
(SEAL)
EXHIBIT A
AMENDMENT NUMBER ONE TO THE AGREEMENT
BETWEEN THE CITY OF VERNON AND THE LAW OFFICES
OF ERIC T. FRESCH, LTD. FOR LEGAL SERVICES
THIS AMENDMENT NUMBER ONE TO THE AGREEMENT BETWEEN
ERIC FRESCH AND THE CITY OF VERNON is entered into between the City of Vernon, a
California charter city and municipal corporation ("City") and the Law Offices of Eric T. Fresch,
Ltd. ("FreschLaw").
WHEREAS, as authorized by City Council Resolution No. 2010-07, the City and
FreschLaw entered an agreement dated January 4, 2010 to provide certain legal services for the
Department of Light & Power and the Gas Department in connection with the issuance and sale
of bonds, public finance matters, energy matters, and certain other related matters (the
"Agreement"); and
WHEREAS, the City wishes to expand the scope of services to be provided by
FreschLaw as allowed by Section LA.12 of the Agreement; and
WHEREAS, FreschLaw desires to provide expanded services in exchange for the
increased compensation as set forth in this Amendment.
NOW THEREFORE, the parties agree as follows:
Secton 1. Section 2.A of the Agreement is hereby amended to read as follows:
"A. Fee. For legal services as described in subsection A of Section 1,
FreschLaw shall be paid for the actual time of services rendered at the rate of
$525 per hour for work performed by Eric T. Fresch. Time shall be billed in
increments of one tenth of one hour."
12720-0001 \ 1196788v5.doc
Section 2. Section 5.1) of the Agreement is hereby amended to read as follows:
"D. Professional Liability Insurance with a minimum limit of two million dollars
($2,000,000) per claim and four million dollars annually in the aggregate
($4,000,000). Such insurance may be subject to a self -insured retention or
deductible to be borne entirely by FreschLaw, which shall not exceed Two
Hundred Fifty Thousand Dollars ($250,000) per occurrence."
Section 3. Except as specifically modified by this Amendment No. 1, the Agreement
shall remain in full force and effect.
ATTEST:
City Clerk
Executed this day of , 2010, at Vernon, California.
CITY OF VERNON
A California Charter City and Municipal Corporation
By
Mayor / Mayor Pro Tern of the City of
Vernon, California
(SEAL)
LAW OFFICES OF ERIC T. FRESCH, LTD.
By:
ERIC T. FRESCH
Title:
12720-0001\119678W.doc 2
CITY CLERK'S OFFICE
INTEROFFICE MEMORANDUM
DATE: March 3, 2010
TO: Donal O'Callaghan, City Administrator
FROM: Willard Yamaguchi, City Clerk � t
RE: Resolution No. 2010-26 - A Resolution of the City Council of
the City of Vernon Approving and Authorizing the Execution
of an Amendment Number One to the Agreement Between the City
of Vernon and the Law Offices of Eric T. Fresch, LTD., for
Legal Services
Transmitted herewith is a copy of the fully executed agreement and
Resolution No. 2010-26 referenced above, which was approved by City
Council on February 22, 2010.
Thank you.
NG:dj
c: Ana Barcia
Kristen Enomoto
Martha Valenzuela
Resolution No. 2010-26
Agreement No. 10-014
AMENDMENT NUMBER ONE TO THE AGREEMENT
BETWEEN THE CITY OF VERNON AND THE LAW OFFICES
OF ERIC T. FRESCH, LTD. FOR LEGAL SERVICES
THIS AMENDMENT NUMBER ONE TO THE AGREEMENT BETWEEN
ERIC FRESCH AND THE CITY OF VERNON is entered into between the City of Vernon, a
California charter city and municipal corporation ("City") and the Law Offices of Eric T. Fresch,
Ltd. ("FreschLaw").
WHEREAS, as authorized by City Council Resolution No. 2010-07, the City and
FreschLaw entered an agreement dated January 4, 2010 to provide certain legal services for the
Department of Light & Power and the Gas Department in connection with the issuance and sale
of bonds, public finance matters, energy matters, and certain other related matters (the
"Agreement"); and
WHEREAS, the City wishes to expand the scope of services to be provided by
FreschLaw as allowed by Section 1.A.12 of the Agreement; and
WHEREAS, FreschLaw desires to provide expanded services in exchange for the
increased compensation as set forth in this Amendment.
NOW THEREFORE, the parties agree as follows:
Secton 1. Section 2.A of the Agreement is hereby amended to read as follows:
"A. Fee. For legal services as described in subsection A of Section 1,
FreschLaw shall be paid for the actual time of services rendered at the rate of
$525 per hour for work performed by Eric T. Fresch. Time shall be billed in
increments of one tenth of one hour."
12720-000 1\ 119 67 8 8 v5. do c
Section 2. Section 5.13 of the Agreement is hereby amended to read as follows:
"D. Professional Liability Insurance with a minimum limit of two million dollars
($2,000,000) per claim and four million dollars annually in the aggregate
($4,000,000). Such insurance may be subject to a self -insured retention or
deductible to be borne entirely by FreschLaw, which shall not exceed Two
Hundred Fifty Thousand Dollars ($250,000) per occurrence."
Section 3. Except as specifically modified by this Amendment No. 1, the Agreement
shall remain in full force and effect.
Executed this 22 day of February , 2010, at Vernon, California.
CITY OF VERNON
A California Charter City and Municipal Corporation
By.�
Mayor / Mayor Pro Tern of the City of
Vernon, California
ATTEST:
zz6e��w (SEAL)
City Clerk
LAW OFFICES OF ERIC T. FRESCH, LTD.
By: f. ���
ERIC T. FRESCH
Title:
12720-0001\1196788v5.doc 2
CITY CLERK'S OFFICE
INTEROFFICE MEMORANDUM
DATE: February 23, 2010
TO: Kristen Enomoto, Council Department Manager
FROM: Willard Yamaguchi, Chief Deputy City Attorney/Risk Manage
RE: Resolution No. 2010-26 - A Resolution of the City Council of
the City of Vernon Approving and Authorizing the Execution
of an Amendment Number One to the Agreement Between the City
of Vernon and the Law Offices of Eric T. Fresch, LTD., for
Legal Services
Transmitted herewith are two partially executed original amendments
requiring Eric's signature and a copy of Resolution No. 2010-26
referenced above, which was approved by City Council on February 22,
2010.
Please ensure that one fully executed amendment is returned to me for
the file.
Thank you.
WY:dj
c: Resolution No. 2010-26
Agreement No. 10-014
APPROVED FEB 2 2 '10 CITY COUNCIL
. 7 01
yEysOFICE STAFF REPORT
CITY ADMINISTRATION OFFICE
DATE: February 17, 2010
TO: Honorable Mayor and City Council�� t
FROM: Donal O'Callaghan, City Administrator
RE: Amendment to Legal Services Engagement Agreement for Eric T. Fresch
The Law Offices of Eric T. Fresch, Ltd. ("FreschLaw") provides the City of Vernon Light
& Power and Gas Departments with legal and financial advisory services, It is
envisioned that the firm of FreschLaw will be undertaking services that are currently
being handled by other firms. The additional services would normally be provided at a
higher rate than FreschLaw's current rate of $450.00 per hour for services provided
under the current agreement. However, rather then establish a two-tier rate structure, it
is recommended that the City revise the current agreement to provide for a blended rate
.of $525.00 per hour. I believe that this consolidation of services and cost shall enhance
the financial management, now and in the future, of the various projects, undertaken by
the City.
Further an amendment of Section 5.D. is also requested. The City Administrator shall
make an exception in the case of the coverage required for professional liability due to
the difficulty in obtaining the limit stipulated in Section 5.D. The professional liability
required by FreschLaw shall be $2,000,000 per claim/$4,000,000 annual aggregate.
Recommendation
It is recommended that FreschLaw's rate of $450.00 be increased to $525.00 per hour.
It is also recommended that FreschLaw only obtain professional liability insurance in the
amount of $2,000,000 per claim and $4,000,000 annual aggregate professional liability
insurance.
DO: rmt
C 17,1 � 1-Y
FEB 1 7 Z010
o \11 <ya
ERIC T. FRESCH
KATHERINE J. BRADSTREET
February 16, 2010
Mr. Donal O'Callaghan
City Administration
City of Vernon
4305 Santa Fe Avenue
Vernon, CA 90058
Dear Mr. O'Callaghan:
LAW OFFICES OF
E13IC T. FAESCH, LTD.
33 NEW MONTGOMERY, SIXTH FLOOR
SAN FRANCISCO, CALIFORNIA 94105-4537
TELEPHONE (415) 488-7760
e.fresch@comcest.net
LOS ANGELES OFFICE
11766 WILSHIRE BLVD. SIXTH FLOOR
LOS ANGELES, CA 90025-6S38
(213) 392-0930
I respectfully request you amend my legal services contract with the City's Light & Power and
Gas Departments on two points: my hourly rate and the minimum limit of professional liability
insurance.
You and I have discussed my firm undertaking services for the City's Light & Power and Gas
Departments that are currently being handled by other firms at rates between $750 and $890 per
hour. I propose that my rate shall be $525 per hour.
I have secured professional liability insurance through agents Marsh -McLennan in the amount of
$2,000,000 per claim/$4,000,000 annual aggregate. Marsh has informed me that they know of
no insurance company offering $10 million limits to a law firm of two attorneys, such as my
firm. I request that you authorize my firm to be required to only obtain the above noted liability
insurance amounts, which will conform to what is available in the marketplace.
Thank you for your consideration of these requests.
Sincerely,
,L 110k
Eric Fresch
Attachment
SmartZone Communications Center: RF: Professional Liability Insurance Quote/Some Additional Questions
2/ 3/ 10 9,00 AM
ffiait lie Communications Center a fiwCh.C&co iT c=t ne@t
Professional Liability Insurance Quote/Some Additional Questions
From: h!Iichael Allar <michaei,allar@marshpm.com> Tue, Jan 19, 2010 01:03 PM
Subject RE: Professional Liability insurance Quote/Some Additional
Questions
To : e french <e,fresch@comcast.net>
Dear Eric:
1�n ;sorry, but for a firm the size of yours, we, are unable to provide limits higher than those I quoted. I don't know of any
company Offering $10 mullion limits for a firth of two attorneys.
I'm song I can't be of more help.
Regards,
Michael 1. Allar
Marsh Consumer
A service of Seabury & Smith
345 California Street, Suite 1300
San Francisco, CA 94104
Phone: 415-953-5642 or 500-339-9122 ext 35642
Fax: 415-983-5696
email: mic�a�l altar rrlar,sl�Llm imam
CA License No. 0633005
From: e-fresch@comcast.net [mailto:e.fresch@comcast.net]
Sent. Sunday, January 17, 2010 8:58 PM
To: Allar, Michael
Cc: a
Subject,. Re: Professional liability Insurance Quote/Some Additional Questions
Dear Michael_
I have the attached quote --everything looks good --I need more coverage though --I initially approached
my homeowners agent, but he worries your company may be better suited for this type and level of
coverage.
Can you help?
Also --I putt in my home address on the application instead of my office--sorry--can I change that?
http://sz0173,ev.mail.comcast.netlzimbra/h/message?si=7&so=o&sc-41228&sq=michael+aliarast-message&id-134840&print=true&xim=1 Page 1 of 4
LAW OFFICES OF
ERIC T. rRESCH, LTD.
33 NEW MONTGOMERY, SIXTH FLOOR
ERIC T. FRESCH SAN (:RANCISCO, CALII'`OXWIA 911105-4537 LOS ANGELES :OFFICE
KATHERINE J. BRADSTREET TELEPHONE I4151 486-776O II766 WILSHIRE BLVD. SIXTH FLOOR
LOS ANGELES. CA 90ORB-6538
0Jr.8.h@c0m0.0t.nel I213I 39A-0930
November 15, 2011
Carlos Fandino
Director of the Light & Power
Department of Light & Power, City of Vernon
4305 Santa Fe Avenue
Vernon, CA 90058
Re: Notice to Terminate Contract for Legal Services, Law Offices of Eric T. Fresch
Dear Carlos:
I want to advise you that I will be ending my representation of the City's Light &
Power Department, effective May 1, 2012. I believe by tendering my notice at this
time it will enable you to help me wind down my participation in the various
projects in which I am involved for Light & Power and provide an orderly
transition to other firms. After you and I meet to review all of the matters in which I
am involved, I will submit to you a total estimated budget for the remaining time of
my service to the Department. Obviously the Department is free to end my services
at any time if it so chooses.
The Light & Power Department has been a client of mine since my days at Mudge
Rose Guthrie Alexander & Ferdon in the 19801s. It has been a great honor to serve
you, your Department, the City Administrator, and the City Council Light & Power
Board.
Thank you.
Sincerely
Eric FresW1
Cc: Honorable Mayor Larry Gonzales and Members of the City Council
Mark Whitworth, City Administrator